Rising Concerns Over Retirement Plans in the U.S.
A significant number of Americans over the age of 50 are reconsidering their retirement plans due to a combination of economic uncertainty and financial concerns, according to a recent survey. The findings reveal that one-quarter of individuals aged 50 and above are delaying their retirement, with this percentage having increased by 14% compared to the previous year. This trend highlights growing anxiety among older adults about their financial stability and future security.
The survey, conducted by ROI Rocket for F&G Annuities & Life, involved 2,000 U.S. adults who are financial decision-makers and have at least $100,000 in savings. Among them, 23% reported that they are pushing back their planned retirement date. This shift is attributed to several factors, including economic volatility, which was cited by half of the respondents as a primary concern. In contrast, only 40% of participants expressed similar worries last year, indicating a sharp rise in apprehension about the economy.
When asked about their reasons for delaying retirement, 44% of those surveyed mentioned concerns about inflation, while 34% were worried about a potential recession. Additionally, 48% expressed fears of not having enough money for retirement, and 42% wanted a larger financial safety net. These figures underscore the deepening sense of financial insecurity among older Americans.
The survey was conducted in May, just a month after President Donald Trump announced “Liberation Day” tariffs, which caused a significant drop in the stock market. Following this, the president temporarily paused the tariffs, leading to a market rebound. However, recent threats to reimpose these tariffs have added further uncertainty, with many expecting new levies to take effect in August.
In addition to delaying retirement, 29% of retirees are considering returning to work, according to the poll. This figure varies by age group, with 28% of Baby Boomers (aged 61 to 80) contemplating re-entering the workforce, compared to 54% of Gen X retirees (aged 45 to 60). The reasons for this include both financial pressures and economic instability. About one-third of respondents said they do not want to feel a lack of purpose, while 36% cited concerns about inflation—down from 44% in the previous year.
Chris Blunt, CEO of F&G, commented on the findings, stating, “The current economic environment is creating significantly more stress and uncertainty for younger American investors, leading many to rethink their timelines for retirement as our third annual study shows.”
According to AARP, the earliest age one can file for Social Security retirement benefits is 62, but waiting longer results in higher monthly payments. These benefits are designed to be largely resistant to inflation due to cost-of-living adjustments. David John, a senior policy adviser at AARP, emphasized the importance of saving, even small amounts, to ensure a more secure retirement.
“Save and continue to save,” he advised. “Because any amount of retirement savings is going to be better than no retirement savings.”
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